management
jp99241©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
CHAPTER 13
EXERCISING CONTROL
©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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- Define control and explain how it relates to planning
- Discuss the characteristics of effective control systems
- Discuss the three types of control systems
- Discuss the four steps in the control process
LEARNING OBJECTIVES
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- Identify the different types of standards
- Explain the importance of strategic control points
- Discuss management by exception
- Discuss the impact of technology on control
LEARNING OBJECTIVES
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- Compares actual performance with planned performance and takes corrective action to ensure objectives are achieved
- Phases
- Anticipating things that could go wrong and taking preventive measures to see that they don’t
- Monitoring performance to compare what is happening with what is supposed to be happening
- Correcting performance problems that occur
- Linked to planning - Controlling is the process supervisors use to help carry out their plans
CONTROL
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EXHIBIT 13.1 - MURPHY’S LAWS
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CHARACTERISTICS OF EFFECTIVE CONTROL SYSTEMS
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TYPES OF CONTROL SYSTEMS
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EXHIBIT 13.3 - TIPS FOR ESTABLISHING PREVENTIVE CONTROLS
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EXHIBIT 13.4 - THE PROCESS OF CONTROL
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- Standard: Unit of measurement that serves as a reference point for evaluating results
- Types
- Tangible standards: Clear, concrete, specific, and measurable
- Numerical standards
- Physical standards
- Monetary standards
- Intangible standards: Relate to human characteristics and so are difficult to measure
ESTABLISHING PERFORMANCE STANDARDS
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- Standards are set by:
- Supervisors based on the time required to perform tasks, the quality necessary, and the expected employee behavior
- The various staff departments on specific areas
ESTABLISHING PERFORMANCE STANDARDS
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- How often to measure
- Establish strategic control points to facilitate any adjustments that need to be made
- Consider the importance of the job and the level of measurement of progress it warrants
- How to measure
- Personal observation
- Written or oral reports by or about employees
- Automatic methods
- Inspections, tests, or samples
MEASURING PERFORMANCE
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EXHIBIT 13.6 - SETTING STRATEGIC CONTROL POINTS IN THE CONTROL PROCESS
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- To understand the reason for the difference between planned and actual performance, supervisor must:
- Determine the reasons for below-average performance
- Compare results that are substantially above standard to determine why they varied from standard
- Find out the opinions of those close to a problem to determine why standards are not being met
COMPARING PERFORMANCE WITH STANDARDS AND ANALYZING DEVIATIONS
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- Involves modifying, adjusting, and fine-tuning in response to problems encountered
- Essential to pull off important tasks or maintain standards
TAKING CORRECTIVE ACTION IF NECESSARY
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MANAGEMENT BY EXCEPTION
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EXHIBIT 13.8 - MANAGEMENT BY EXCEPTION
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- Decision making and control have shifted downward to lower levels of management
- Digital monitoring - Enables supervisors to give instructions and control operations from a distance away from those activities
IMPACT OF TECHNOLOGY ON CONTROL
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- Concurrent controls
- Feedback controls
- Feedforward controls
- Intangible standards
- Management by exception
- Monetary standards
IMPORTANT TERMS
- Numerical standards
- Physical standards
- Standard
- Strategic control point
- Tangible standards
- Time standards